Sudanese President Omar Hassan al-Bashir has agreed to re-establish
diplomatic ties with Chad after severing relations following a rebel
attack on the Sudanese capital, Khartoum in May.

Senegalese
officials, who have been meditating talks between the two sides, made
the announcement Friday in Senegal's capital, Dakar.

Chad has denied any involvement in the attack by Darfur-based rebels on Khartoum and its twin city, Omdurman.

Chad
and Sudan regularly accuse each other of supporting rebel movements in
the other country. In February, Chad accused Sudan of supporting an
attack on the Chadian capital, N'djamena, by Chadian rebels.

Chad and Sudan have signed several peace agreements in recent years, but relations have remained hostile.

U.N. officials say eastern Chad is now home to about 250,000 refugees from Darfur.

The officials say there are also about 180,000 Chadians who have been displaced as a result of fighting locally and in Darfur.